The US has imposed a new 15% global tariff under Section 122. Find out which countries already faced tariffs and which countries like India are newly affected, and what it means for global trade.
The United States has imposed a new 15% import tariff under Section 122 of the Trade Act of 1974, marking one of the broadest trade actions in recent years. Unlike earlier tariffs that targeted specific countries, this new tariff applies globally, affecting both major economies and developing nations.
This move changes the global trade landscape and raises an important question: Which countries were already facing US tariffs, and which countries are newly affected?
Countries That Were Already Facing US Tariffs
Before this new universal tariff, the US had imposed tariffs mainly under Section 301 and Section 232, targeting specific countries and products.
Major countries already under US tariffs:
China
China faced the highest tariffs due to trade disputes with the US. Many Chinese goods already had tariffs between 10% and 25%.
European Union
EU countries faced tariffs on steel, aluminium, and industrial goods.
Japan
Japan had tariffs on selected automobile and industrial exports.
Brazil
Brazil faced tariffs on metal exports and industrial products.
United Kingdom
The UK had negotiated tariffs but still faced duties on certain goods.
South Korea
Steel and industrial exports were already subject to tariffs.
For these countries, tariffs were already part of trade relations.
Countries Newly Affected By The 15% Tariff
The biggest impact of Section 122 is on countries that were not previously targeted.
Major countries newly affected:
- India – Engineering goods, electronics, and chemicals exports may be affected.
- Vietnam – Manufacturing and electronics exports impacted.
- Bangladesh – Textile exports impacted.
- Thailand – Electronics and manufacturing exports affected.
- Malaysia – Electronics exports impacted.
- Indonesia – Commodity and manufacturing exports affected.
African countries newly affected include:
- Kenya
- South Africa
- Ethiopia
- Ghana
Middle East countries newly affected include:
- UAE
- Saudi Arabia
These countries previously had normal or low tariffs but now face the new global tariff.
Why This Tariff Is Different From Previous US Tariffs
Earlier tariffs were:
- Country-specific
- Product-specific
- Based on investigations
The new tariff is:
- Global
- Broad-based
- Applies to most imports
- Temporary but wide-reaching
This makes it one of the most comprehensive tariff actions ever taken by the US.
Impact On India
India is among the biggest newly affected economies.
Indian sectors at risk:
- Engineering goods
- Electronics
- Chemicals
- Textiles
- Manufacturing
Impact On Indian Stock Market
Indian stock markets such as Sensex and Nifty 50 may see:
- Increased volatility
- Pressure on export stocks
- Weak opening in short term
Export-focused companies may see selling pressure.
Global Trade Impact
The tariff could:
- Slow global trade
- Increase prices in the US
- Affect emerging markets
- Shift global supply chains
Conclusion
The new 15% US tariff under Section 122 has expanded tariff coverage to nearly all exporting countries.
While countries like China and the EU were already facing tariffs, many countries including India, Vietnam, Bangladesh, and African nations are newly affected.
This decision could reshape global trade and impact stock markets worldwide.